Corporate action events automation
No missed deadlines. No manual errors. Precise execution every time.
Corporate action events — dividends, mergers, stock splits, rights issues — affect every security held by your clients. Processed manually, they create data aggregation bottlenecks, missed election deadlines, and reconciliation errors that ripple across portfolios. Automated, they become a structured, monitored workflow — from event detection to client communication and portfolio update — with no step left to chance.
Securities operations
Portfolio management
Compliance automation
Workflow automation
Manual vs automated corporate action event processing
Most banks still manage corporate action events through manual data collection from multiple sources, spreadsheet-based tracking, and ad hoc client notifications — creating delays, missed elections, and costly reconciliation errors.
Without automation
What the manual process typically looks like
- Event data collected manually from news feeds, custodians, and regulatory filings — slow and inconsistent
- Event deadlines tracked in spreadsheets — missed elections and late responses are a recurring risk
- Mandatory and voluntary events processed through separate, disconnected workflows
- Portfolio updates applied manually after each event — prone to reconciliation errors
- Client notifications drafted and sent manually — often delayed or incomplete
- No centralised audit trail — reconstructing event history for compliance is time-consuming
With automation
What changes when you automate
- Event data aggregated automatically from multiple sources — created and updated in real time
- Deadline monitoring automated — alerts triggered automatically before election dates expire
- Mandatory and voluntary events routed through standardised, type-specific workflows
- Portfolio management systems updated automatically upon event completion
- Clients notified automatically with personalised event impact summaries and recommended actions
- Full audit trail generated automatically — every event, action, and decision logged and traceable
What corporate action events involve
Corporate action events are significant events initiated by a publicly traded company that directly impact its shareholders and the securities they hold. They span a wide range of event types — from mandatory actions such as stock splits, mergers, acquisitions, and dividend distributions, to voluntary actions such as tender offers, rights issues, share buybacks, and dividend reinvestment programmes.
For banking institutions managing client portfolios, every corporate action event requires timely detection, accurate data processing, correct portfolio adjustments, and clear client communication — all within strict deadlines set by the issuing company or regulatory authorities. The volume, complexity, and time-sensitivity of these events make corporate action processing one of the strongest candidates for automation in banking back-office operations.
Mandatory corporate action events
Mandatory events are corporate actions that companies are required by law or regulation to execute. Shareholders have no discretion — they must comply with the changes imposed by the company or regulatory authorities. Examples include stock splits, reverse stock splits, mergers, acquisitions, and dividend distributions.
Automatic event creation
All follow-up dates set
SWIFT data ingested
Announcement date
SLB positions recalled
Security blocked from lending
Automated notifications sent
Internal deadline
Positions pre-booked
Entitlements calculated
Records updated
Ex-Date −1
Security released
Available for lending again
Positions updated
Ex-Date +1
Client accounts booked
Entitlements allocated
Payment instructions sent
Payment date
Payment reconciled
Event follow-up completed
Audit trail closed
Payment date +30
Voluntary corporate action events
Voluntary events are initiated by the company and provide shareholders with a choice or decision to make. Shareholders may participate based on their preferences and investment strategies. Examples include tender offers, rights issues, share buybacks, and dividend reinvestment programmes. While participation is not mandatory, elections must be submitted within strict deadlines.
Automatic event creation
All follow-up dates set
SWIFT data ingested
Announcement date
Notification to security holders
Event details communicated
Response deadline stated
Letter deadline
Client instructions collected
Elections validated
Incomplete responses chased
Instruction deadline
Instructions sent to market
Client elections forwarded
Confirmations captured
Instruction deadline +1
SLB positions recalled
Security blocked from lending
Positions reconciled
Instruction deadline +1
Security released
Available for lending again
Positions updated
Ex-date +1
Client accounts booked
Elected entitlements allocated
Payment instructions sent
Payment date
Payment reconciled
Event follow-up completed
Audit trail closed
Payment date +30
How automation improves corporate action event processing
Every event — mandatory or voluntary — follows the same verified processing path. No missed deadlines, no manual aggregation errors, no gaps in client communication or portfolio reconciliation.
Automated data aggregation & event creation
BPA solutions aggregate corporate action event data automatically from multiple sources — financial news feeds, custodian notifications, regulatory filings, and market databases — creating and updating event records in real time without manual data entry or source reconciliation.
Automated event monitoring & deadline alerting
Corporate announcements, regulatory filings, and election deadlines are tracked automatically. Alerts are triggered before critical dates expire — ensuring that banking professionals and back-office teams are notified in time to respond, with no reliance on manual calendar tracking or spreadsheet reminders.
Automated workflow routing & approvals
Event-related tasks and approvals are routed automatically to the appropriate stakeholders based on event type, client segment, and risk level. Mandatory and voluntary events follow type-specific workflows — ensuring timely execution and consistent compliance with internal policies and regulatory requirements.
Portfolio management system integration
Corporate action event data is synchronised automatically with portfolio management systems — updating holdings, valuations, and performance metrics upon event completion. This gives banking professionals an accurate, real-time view of portfolio impact without manual reconciliation across disconnected systems.
Automated client communication & reporting
Clients receive automated, personalised notifications for each relevant corporate action event — including event details, potential portfolio impact, available elections (for voluntary events), and recommended actions. Reports are generated automatically, reducing manual drafting and ensuring consistent, timely communication.
Complete & immutable audit trail
Every event, action, election, and portfolio update is logged automatically with full timestamps — creating a complete, audit-ready record for compliance review. When regulators or internal auditors request event history, it is available instantly with no manual reconstruction required.
Based on industry benchmarks for banking securities operations automation. Actual results vary by organisation.
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